Direct response advertisers in all industries are harnessing the power of video ads to drive meaningful actions. Whether they aim to increase purchases, app downloads, or lead form submissions, marketers benefiting by increasing their video ad spend on Facebook, Audience Network and Instagram. As CMOs scale investment in video advertising, it's important to understand how the market is trending. This SlideShare features data and insights from our recent report of 2016 video advertising benchmarks in order to provide you with the knowledge you need to create successful campaigns this year and beyond.

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FACEBOOK VIDEO ADVERTISING REWIND
Benchmarks and Trends from 2016

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Advertisers are flocking to Facebook video ads
Video ad formats offer brand
marketers a powerful storytelling
tool for increasing awareness.
2016 proved they also provide
direct response advertisers a
compelling way to drive
meaningful actions—like
purchases, app downloads, or
lead form submissions.

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What’s in this Presentation
As CMOs scale investment in video advertising on Facebook to
advance real revenue growth, it’s important to understand how
the market is trending. The data and insights in this report will
help inform more strategic decisions on your Facebook
advertising plans for the new year ahead.
In this report, you’ll find exclusive Facebook insights on:
 Video ad share and spend growth
 Facebook Audience Network video ad spend growth
 How video growth on Facebook extends to Instagram
About This Report: All data in this report is based on an analysis of companies using Nanigans advertising
automation software to advertise on Facebook.

4. Video Dominates Growth
as Ad Budgets Soar

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Video Dominates Growth as Ad Budgets Soar
The share of Facebook ad spend allocated to video increased 57%
from January to November 2016, compared to the same period
of time in 2015 across the same advertiser set.

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Video Dominates Growth as Ad Budgets Soar
Nearly half of all 2016 Facebook ad spend by game marketers
was on video ads, primarily in the form of mobile app install
campaigns.
This 48% share represents a substantial increase from video’s
share of 21% in 2015.
While companies across Nanigans’
advertiser base ramped up adoption of
the format, much of the growth came
from those in the gaming industry.

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Video Dominates Growth as Ad Budgets Soar

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Video Dominates Growth as Ad Budgets Soar
65% of all Nanigans advertisers that spent on video ads in the first
11 months of 2015 increased video budgets during the same
period in 2016.
Shorter-term trends underscore this growth as well, with average
Facebook video ad budgets increasing 63% between May and
November 2016.
As advertisers find greater success
with video on Facebook, they are
increasing budgets as a result.

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Video Dominates Growth as Ad Budgets Soar

10. Video Makes Gains on Facebook
Audience Network

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Video Makes Gains on Facebook Audience Network
With Facebook Audience Network,
advertisers can extend their campaigns to
new and existing customers through ads
on the mobile apps and websites they use
most outside of Facebook.
2016 saw an increasing share of video ads
being delivered outside of Facebook—a
clear indication of the growing value of
Audience Network for video advertisers.

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Video Makes Gains on Facebook Audience Network
Among advertisers that enabled Audience Network for video ads,
close to 5% of spend was directed toward off-Facebook inventory
in November 2016. This share was less than 1% just six months
prior in May 2016, across the same set of advertisers.

13. Adoption of Video Ads on Instagram
Climbs Alongside Facebook

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Adoption of Video Ads on Instagram Climbs Alongside
Facebook
Though the video advertising
ecosystem is much younger on
Instagram than on Facebook, the
format continues to gain traction
thanks to the high ROI it can
generate for marketers.

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Adoption of Video Ads on Instagram Climbs Alongside
Facebook
On average, Instagram advertisers have increased their spend on
video by more than 7X the levels seen in May 2016.
This growth rate actually outpaces corresponding budget growth
on Facebook, underscoring the appetite among advertisers to
scale video campaigns across Instagram’s valuable audience of
users.
40% of companies using Nanigans to
advertise on Instagram allocated a
portion of their ad spend to video ads.

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For more reports, guides and case studies, visit nanigans.com